Technological convergence and open innovation in the mobile telecommunication industry

Abstract

Summary This study addresses open innovation in the telecommunications industry and the relationship between technological convergence and open innovation. Specifically, the study focuses on the increasingly widespread trend of mobile companies to engage in external capabilities and knowledge sources as a way to extend their knowledge boundaries. Collaboration efforts have strongly impacted open innovation strategies as the external environment is constantly changing, particularly in digital convergence and standards networks. The authors confirm that exploitation‐oriented alliances play a key role in the paradigm shift by using the number of U.S. co‐patents to prove the strong, collaborative research of leading mobile firms (Nokia, Motorola, Samsung and LG). They also confirm that current industry leaders have relatively high cross‐country patents, indicating international research and development (R&D) efforts with increasing strategic alliance activity. Foreign inventors and strategic alliances are therefore increasing.